H-8407

   Amend House File 2763 as follows:
   1.  Page 1, before line 1 by inserting: 
<DIVISION I
AGRICULTURAL EQUIPMENT REPAIR>
   2.  Page 1, line 1, by striking <322E.1> and inserting <322H.1>
   3.  Page 5, line 22, by striking <322E.2> and inserting <322H.2>
   4.  Page 7, after line 9 by inserting: 
<DIVISION __
AGRICULTURAL DATA OWNERSHIP AND MARKET COMPETITION

   Sec. ___.  NEW SECTION.  322I.1  Short title.
   This chapter shall be known and may be cited as the “Iowa Agricultural Data Ownership and Market Competition Act”.
   Sec. ___.  NEW SECTION.  322I.2  Legislative findings and declaration.
   The general assembly finds and declares all of the following:
   1.  Iowa agricultural producers generate substantial data annually, including yield monitor data, soil analyses, field prescriptions, weather correlations, precision agriculture measurements, livestock health metrics, and operational performance data.
   2.  Agricultural producers currently surrender valuable data to equipment manufacturers, platform companies, and data service providers through opaque terms of service, often receiving no compensation for the data and maintaining no control over its use.
   3.  Seed companies, insurers, commodity traders, agricultural technology firms, financial institutions, government agencies, and others pay premium prices for agricultural data insights, while agricultural producers receive no portion of that value.
   4.  Concentration of agricultural data collection and transformation in a small number of equipment manufacturers and platform companies tends to harm Iowa agricultural producers and rural communities.
   5.  Agriculture is a sector of critical importance to Iowa’s economy, food security, and community development.
   6.  Raw agricultural data, consisting of factual observations and measurements generated directly from agricultural equipment or agricultural production operations, cannot be copyrighted under federal law, but when raw agricultural data is transformed through creative processes, analytical methods, or proprietary algorithms, the transformed agricultural data may be considered intellectual property and is eligible for full ownership protection.
   7.  Establishing clear agricultural data ownership principles that recognize agricultural producers’ full copyright ownership of transformed agricultural data will empower agricultural producers to capture fair market value for their data while promoting transparency, competition, and innovation in the agricultural sector.
   8.  Preventing excessive market concentration in agricultural data collection and transformation is essential to preserving competitive markets, ensuring fair prices for agricultural producers, and avoiding the harms associated with monopolistic practices.
   9.  It is therefore in the best interests of the people of Iowa to establish clear and comprehensive regulation of agricultural data ownership and use in support of agricultural producers, the agricultural industry, and rural communities.
   Sec. ___.  NEW SECTION.  322I.3  Definitions.
   As used in this chapter, unless the context otherwise requires:
   1.  “Agricultural equipment” means the same as defined in section 322H.1.
   2.  “Agricultural producer” or “producer” means a person engaged in an agricultural production operation as a landowner, tenant farmer, contract grower, livestock owner, or other agricultural operator.
   3.  “Agricultural production operation” means any activity conducted for the purpose of producing an agricultural commodity, including crop production, livestock production, aquaculture, viticulture, or similar activities.
   4.  “Data owner” means a person that holds ownership rights in raw agricultural data or transformed agricultural data under section 322I.4.
   5.  a.  “Data service provider” means a person that collects, receives, accesses, transmits, stores, processes, transforms, aggregates, analyzes, sells, licenses, or otherwise commercializes raw agricultural data or transformed agricultural data.
   b.  “Data service provider” includes all of the following:
   (1)  An original equipment manufacturer, as defined in section 322H.1.
   (2)  A platform provider that operates a digital platform, application, or service through which raw agricultural data or transformed agricultural data is collected, created, stored, transmitted, processed, or otherwise made available.
   (3)  A data aggregator that collects, compiles, or processes raw agricultural data from multiple agricultural producers.
   (4)  An entity that transforms raw agricultural data into transformed agricultural data.
   (5)  An entity that sells, licenses, or otherwise commercializes raw agricultural data or transformed agricultural data.
   6.  “Data transaction” means any sale, license, transfer, subscription, grant of access, or other commercial exchange of transformed agricultural data or of an ownership right in transformed agricultural data, whether for a one-time payment, recurring fees, royalties, or other consideration.
   7.  “Department” means the department of agriculture and land stewardship.
   8.  “Landowner” means a person that is a titleholder, or holds a fee simple interest, a life estate interest, or other possessory interest, in agricultural land.
   9.  “Livestock” means the same as defined in section 717.1.
   10.  “Livestock owner” means a person that holds ownership rights in livestock.
   11.  “Markets for transformed agricultural data” means the commercial channels and purchasers of transformed agricultural data, including all of the following:
   a.  Crop insurance companies and reinsurers seeking actuarial data and risk assessments.
   b.  Seed companies and agricultural biotechnology firms seeking performance validation data.
   c.  Commodity traders and futures markets seeking supply forecasts and production analytics.
   d.  Agricultural lenders and financial institutions seeking creditworthiness assessments and collateral valuations.
   e.  Carbon credit registries and environmental markets seeking sequestration verification.
   f.  Government agencies seeking program compliance verification or statistical data.
   g.  Food processors and retailers seeking supply chain transparency and sustainability documentation.
   h.  Agricultural input suppliers seeking market intelligence and demand forecasting.
   i.  Land valuation services and real estate markets seeking productivity assessments.
   j.  Research institutions and universities seeking data for agricultural studies.
   k.  Water districts and drainage districts seeking usage optimization data.
   l.  Any other commercial, governmental, academic, or nonprofit entity that derives value from transformed agricultural data.
   12.  a.  “Raw agricultural data” means unprocessed factual information and all data generated directly from an agricultural production operation, agricultural equipment operation, or agricultural land, and that satisfies both of the following:
   (1)  Has not been converted to transformed agricultural data.
   (2)  Consists of factual observations and measurements that cannot be copyrighted under federal copyright law.
   b.  “Raw agricultural data” includes all of the following:
   (1)  Yield data, soil data, crop data, and field data as directly recorded by equipment or by manual observation.
   (2)  Precision agricultural data, including global positioning system coordinates, application rates, and sensor readings.
   (3)  Equipment operation data, diagnostic data, telematics data, and machine performance data as generated by equipment systems.
   (4)  Livestock data, including health records, production metrics, breeding data, and performance measurements.
   (5)  Weather data, environmental data, and climate data specific to agricultural production operations.
   (6)  Input data, including seed, fertilizer, pesticide, herbicide, diesel exhaust fluid, and fuel usage data.
   (7)  Financial data specific to agricultural production operations.
   13.  “Transformed agricultural data” means raw agricultural data that has been processed, analyzed, aggregated, compiled, or otherwise transformed through the application of proprietary algorithms, analytical methods, creative arrangement, or other intellectual processes sufficient to produce information that may be copyrighted as intellectual property under federal copyright law, including all of the following:
   a.  Agronomic analyses and recommendations derived from raw agricultural data.
   b.  Predictive models and yield forecasts based on historical and current data.
   c.  Field prescriptions and variable-rate application maps.
   d.  Comparative benchmark reports and performance analyses.
   e.  Validated farming practices documented and substantiated through operational data.
   f.  Crop insurance risk assessments and actuarial analyses.
   g.  Carbon sequestration quantification and environmental credit documentation.
   h.  Supply chain optimization analyses and logistical models.
   i.  Equipment efficiency analyses and maintenance prediction models.
   j.  Sustainability certifications and compliance documentation.
   k.  Market timing analyses and commodity trading insights.
   l.  Input optimization recommendations and resource efficiency analyses.
   m.  Any other compilation, analysis, or derivative work that meets the originality threshold for copyright protection under federal law.
   Sec. ___.  NEW SECTION.  322I.4  Agricultural data ownership —— rights of agricultural producers.
   1.  An agricultural producer that generates raw agricultural data from the producer’s agricultural equipment or agricultural production operation retains ownership of that raw agricultural data and may do all of the following:
   a.  Access, possess, and control the raw agricultural data.
   b.  Receive copies of the raw agricultural data in a standardized, portable, machine-readable format from a data service provider.
   c.  Share the raw agricultural data with a data service provider of the producer’s choosing.
   d.  Request deletion of the raw agricultural data from a data service provider’s systems.
   e.  Receive information from a data service provider regarding how the raw agricultural data is being used, transformed, and commercialized.
   f.  Receive fair market value compensation from a data service provider when the raw agricultural data is used to create transformed agricultural data or is otherwise commercialized.
   2.  An agricultural producer that provides raw agricultural data to a data service provider that converts the raw agricultural data into transformed agricultural data has full ownership rights in the transformed agricultural data and may do all of the following:
   a.  Copyright the transformed agricultural data.
   b.  Reproduce the transformed agricultural data.
   c.  Prepare, or contract for the preparation of, derivative works based on the transformed agricultural data.
   d.  Distribute copies of the transformed agricultural data.
   e.  Display the transformed agricultural data publicly.
   f.  License or sell the transformed agricultural data in any market and for any lawful purpose.
   g.  Receive fair market value compensation from a data service provider when the transformed agricultural data is commercialized by others.
   3.  a.  Except as provided in subsection 2, 4, or 5, raw agricultural data generated by a landowner from a crop production operation, and transformed agricultural data derived from that raw agricultural data, belongs to the landowner of the agricultural land from which the raw agricultural data was generated.
   b.  A landowner that leases land to a tenant farmer or other agricultural producer retains ownership of the raw agricultural data generated from crop production on that land unless otherwise provided by written agreement between the landowner and the tenant farmer or other agricultural producer.
   4.  a.  Raw agricultural data generated from a livestock operation, referred to in this chapter as “livestock data”, and transformed agricultural data derived from that raw agricultural data, belongs to the owner of the livestock from which the raw agricultural data was generated, regardless of where the livestock is housed or whether a person other than the livestock owner manages the livestock, unless otherwise provided by written agreement between the parties.
   b.  A landowner of land on which a livestock operation is conducted, and who is not the owner of the livestock, does not own and has no claim to the livestock data generated from the livestock operation unless otherwise provided by written agreement between the owner of the livestock and the landowner.
   5.  a.  Raw agricultural data generated from agricultural equipment during an agricultural production operation that is related to the use of the agricultural equipment, referred to in this chapter as “equipment operation data”, and transformed agricultural data derived from that raw agricultural data, belongs to the owner or lessee of the agricultural equipment at the time the raw agricultural data was generated, unless otherwise provided by written agreement between the parties.
   b.  In accordance with subsection 3, even if agricultural equipment is used during crop production, raw agricultural data generated from crop production belongs to the landowner if the raw agricultural data is related to the crop production. If the raw agricultural data is equipment operation data and is related to the use of the agricultural equipment in the crop production, the raw agricultural data belongs to the owner or lessee of the agricultural equipment.
   6.  a.  A data owner’s rights regarding raw agricultural data or transformed agricultural data granted under this chapter shall not be waived or transferred by a browsewrap agreement, a clickwrap agreement, terms of service, an end user license agreement, or a similar instrument.
   b.  A data owner’s rights regarding raw agricultural data or transformed agricultural data may be waived, transferred, or voided only if the data owner provides express, informed, written consent that specifically acknowledges the waiver, transfer, or voiding of that right.
   7.  a.  This section does not prohibit parties from negotiating alternative ownership and revenue-sharing arrangements for raw agricultural data or transformed agricultural data through written agreement.
   b.  An agricultural producer may negotiate ownership and revenue-sharing arrangements for the producer’s raw agricultural data or transformed agricultural data, including specific sharing arrangements for any of the following:
   (1)  Tenant farming.
   (2)  Sharecropping.
   (3)  A contract growing operation.
   (4)  A custom farming operation.
   (5)  An equipment leasing arrangement.
   Sec. ___.  NEW SECTION.  322I.5  Data monetization rights —— limits on data service providers —— revenue sharing.
   1.  An agricultural producer may monetize, either directly or through a data service provider of the producer’s choosing, the producer’s transformed agricultural data by selling, licensing, or otherwise commercializing the data in markets for transformed agricultural data.
   2.  A data service provider shall not do any of the following:
   a.  Prevent, restrict, or impede an agricultural producer from monetizing the producer’s transformed agricultural data through third parties.
   b.  Limit or restrict the types of markets for transformed agricultural data in which an agricultural producer may participate.
   c.  Impose contractual provisions that grant the data service provider exclusive rights to the agricultural producer’s raw agricultural data or transformed agricultural data without fair market value compensation and the informed consent of the agricultural producer.
   d.  Discriminate or retaliate against an agricultural producer in terms, pricing, or service based on the producer’s monetization of transformed agricultural data.
   3.  When a data service provider sells, licenses, or otherwise commercializes transformed agricultural data, all of the following shall apply:
   a.  The data owner shall receive fair market value compensation for the use of the data owner’s transformed agricultural data, and the compensation shall be disclosed by the data service provider prior to the data transaction.
   b.  The data service provider shall provide the data owner, upon request, with a transparent accounting of all data transactions involving the data owner’s transformed agricultural data, including the markets in which the transformed agricultural data was sold.
   c.  A revenue-sharing arrangement established between the data owner and the data service provider shall be executed by written agreement between the parties and shall specify the percentage or amount of revenue paid to the data owner.
   d.  The data service provider may contract with other persons to facilitate payment of revenue shares to data owners, but shall not reduce or delay payments to the data owner.
   Sec. ___.  NEW SECTION.  322I.6  Enforcement —— unfair or deceptive trade practice —— civil penalty —— private right of action.
   1.  A violation of section 322I.5 by a data service provider is an unlawful practice under section 714.16.
   2.  a.  The department shall serve as the first-line receiving and investigating authority for a violation of section 322I.5, and may do any of the following:
   (1)  Receive and investigate complaints alleging violations of this chapter.
   (2)  Refer complaints to the attorney general for enforcement under section 714.16.
   (3)  Publish annual reports on agricultural data market concentration and compliance with this chapter.
   b.  The attorney general, on referral from the department or upon the attorney general’s own initiative, may bring an action to enforce section 322I.5 under section 714.16, including an action seeking injunctive relief, restitution, civil penalties, and any other relief authorized by section 714.16.
   3.  a.  In addition to any other penalty available under section 714.16, a data service provider that violates section 322I.5 is subject to a civil penalty of not more than fifty thousand dollars per violation.
   b.  Except for any relief awarded under subsection 4, a civil penalty recovered by the attorney general or the department under section 322I.5 shall be deposited in the general fund of the state.
   4.  An agricultural producer or data owner aggrieved by a violation of section 322I.5 may bring a civil action in a court of competent jurisdiction and, upon prevailing, is entitled to all of the following:
   a.  Actual damages or statutory damages of up to ten thousand dollars per violation, whichever amount is greater.
   b.  Injunctive relief.
   c.  Reasonable attorney fees and costs.
   5.  The remedies provided in this section are cumulative and are in addition to any other remedies available under law.
   Sec. ___.  NEW SECTION.  322I.7  Rulemaking.
   The department may adopt rules pursuant to chapter 17A to administer and enforce this chapter.
   Sec. ___.  NEW SECTION.  322I.8  Construction —— relationship to chapter 322H.
   1.  This chapter shall be construed independently of chapter 322H.
   2.  Except as otherwise expressly stated in statute, all of the following apply:
   a.  The definition of “data” in section 322H.1 applies only for purposes of chapter 322H.
   b.  The definitions of “raw agricultural data” and “transformed agricultural data” in section 322I.3 apply only for purposes of this chapter.
   3.  a.  Nothing in this chapter limits, modifies, or supersedes the obligations of an original equipment manufacturer under chapter 322H.
   b.  Nothing in chapter 322H limits, modifies, or supersedes the data ownership rights of an agricultural producer or data owner under this chapter.
   Sec. ___.  Section 714.16, subsection 2, Code 2026, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  t.  It is an unlawful practice for a person that is a data service provider acting in the course of the person’s business to violate section 322I.5.
   Sec. ___.  EFFECTIVE DATE.  This division of this Act takes effect July 1, 2027.
   Sec. ___.  APPLICABILITY.  This division of this Act applies to transactions and conduct occurring on or after the effective date of this division of this Act.>
   5.  Title page, line 2, by striking <equipment.> and inserting <production, providing penalties, and including effective date and applicability provisions.>
   6.  By renumbering as necessary.

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WULF of Black Hawk